Innocean Posts 33% Surge in Q1 Operating Profit... "Earnings Surprise" Driven by Growth in U.S. and Europe

Gross Profit of 250.1 Billion Won and Net Profit of 39.6 Billion Won

Expansion in CES, Sports Marketing, and Digital Businesses

Expected Benefits from North and Central America World Cup

Innocean announced on May 11 that, on a consolidated basis for the first quarter of this year, it recorded a gross profit of 250.1 billion won, operating profit of 39.8 billion won, and net profit of 39.6 billion won. Compared to the same period last year, gross profit increased by 7.7%, operating profit by 33.3%, and net profit by 134.5%.

In particular, the operating profit marked the highest level ever for a first quarter.

Innocean explained, "The expansion of our global business portfolio, improved domestic performance, and enhanced efficiency and cost management through AI-based work have all contributed to improved profitability."

In the domestic business, gross profit rose by 7.8% year-on-year to 50.3 billion won, driven by CES-related projects, growth in the customer experience (CX) sector, and expansion of non-affiliated advertisers.

Gross profit from overseas operations increased by 7.7% to 199.8 billion won, supported by growth in the Americas and European markets. The U.S. subsidiary, Canvas Worldwide, was responsible for the domestic media execution of the movie "Project Hail Mary," which Innocean views as a case of expanding its entertainment marketing business.

In Europe, the expansion of digital services contributed to improved performance. The number of countries where Genesis web services are operated expanded from two to seven. In the Indian market, Innocean is strengthening its local business by establishing a new office in Bengaluru in addition to its sports marketing activities.

Innocean plans to continue expanding its performance in the second half of the year, leveraging growth in the Americas and Europe as well as marketing demand related to the North and Central America World Cup.

Shin Seulho, Executive Vice President of Finance at Innocean, stated, "In the first quarter of this year, Innocean’s bold internal restructuring during the AI transition period resulted in solid management outcomes, and the diversification of our global portfolio delivered encouraging results. The entertainment business in the Americas and sports marketing represent repeatable growth engines, and we will continue to expand high value-added businesses by region and industry to enhance both profitability and corporate value."

This content was produced with the assistance of AI translation services.